E-NEWSLETTER

By Gregory Arroyo

The verdict on the impact of the Fed's new rule is still out, but its requirements might just be what the doctor ordered for our business.

Tags: Adverse Action Notice, Compliance, FACTA 2003, Federal Reserve Board, Federal Trade Commission, Risk-Based Pricing Notices

By Gregory Arroyo

Three compliance experts attempt to map out a dealer’s best-chance deal. In the end, all roads lead back to compliance.

Tags: Compliance, FEDERAL REGULATION, Federal Trade Commission, Truth in Lending Act

By Rob Cohen, Esq.

When the FTC revised its telemarketing rule, it did so to curb the use of robocalls. Compliance expert breaks down the changes.

Tags: Compliance, Federal Trade Commission, robocalls, Telemarketing Sales Rule

By Joe Bartolone

As most dealers know, paperwork can be a friend and foe. Compliance expert provides his guide for correcting 10 of the most common paperwork errors.

Tags: book-out sheets, Compliance, credit applications, credit reports, Dealer's Guide to Compliant Paperwork, driver's licenses, F&I menus, forms programming, OFAC checks, rebate forms, sales worksheets, used car buyer's guides

By Michael Benoit

On May 12, Congress held a hearing on a bill that would give the Federal Trade Commission broad new powers to regulate automobile dealers. The bill, H.R. 2309, directs the FTC to adopt rules that prevent unfair and deceptive practices by dealers regarding credit and lending.

Tags: Compliance, Legal Corner, Michael Benoit

By Michael Benoit

In these tough economic times, the last thing business needs are unreasonable impediments on the sale of goods and services. Hasn’t all the bailout and stimulus spending been focused on unfreezing credit markets so folks can spend money and boost the economy?

Tags: Compliance, Legal Corner, Michael Benoit

By Joe Bartolone

When it comes to F&I pay plans, don’t be surprised by what you get. Compliance auditor breaks down eight commonly used pay-plan objectives and provides his take on how they impact a dealership’s goals.

Tags: Compliance, CSI, front-end profit, pay plan, payment packing, product penetration

By Michael Benoit

In these tough economic times, driving business into the showroom is more important than ever. Many merchants invest significant resources into advertising their products in a manner designed to entice potential customers.

Tags: Compliance, Legal Corner, Michael Benoit

By Terrence O'Loughlin and Justina Ly

As state and federal regulators increase their vigilance of finance transactions, dealers will need to be on high alert when it comes to their F&I processes. Former compliance regulator addresses F&I's brave new world of compliance.

Tags: Compliance, FACTA, federal regulators, federal usury cap, FTC, spot delivery, Used Car Rule

By Jim Ganther

Knowing what triggers an adverse action notice can definitely be baffling, but so can the rules governing content and timing. Legal expert weighs in with part II of F&I's series on adverse action notices.

Tags: Adverse Action Notices, AFIP, Compliance, ECOA, FCRA, FTC

By Michael Benoit

In these tough economic times, many dealers are looking for ways to cut expenses and protect cash flow. Some will feel the need to cut back on advertising, while others will recognize that advertising can be a lifeline in a down market.

Tags: Compliance, Legal Corner, Michael Benoit

By Kristen Force

There are reasons why The Suburban Collection, the 14th largest dealer group in the nation, has achieved 60 years in the business. Learn how the dealer group has maintained its success.

Tags: Compliance, dealer group, DEALERS, Florida, JPMORGAN CHASE, Michigan, NADA, Saturn, Volvo

By Michael Benoit

Tough times usually mean an increase in the number of consumer complaints filed against retailers and creditors, at least that's been the case in my experience. So, as we face what many believe will be a difficult year for profits, it’s probably a good idea for you to be diligent about enforcing your store’s compliance policies and procedures.

Tags: Compliance, Legal Corner, Michael Benoit

By Michael Benoit

In these tough economic times, many dealers are looking for ways to cut expenses and protect cash flow. Some will feel the need to cut back on advertising, while others will recognize that advertising can be a lifeline in a down market.

Tags: Compliance, Legal Corner, Michael Benoit

By Michael Benoit

Many financial institutions and creditors around the country have spent the last six or so months working diligently to implement their identity theft prevention programs as mandated by Congress and the Federal Trade Commission’s new Red Flags Rule.

Tags: Compliance, Federal Trade Commission, Legal Corner, Michael Benoit, Red Flags Rule

By Michael Benoit

I have the opportunity to work with several clients that provide sales and F&I training to dealers. On those occasions where I’m asked to help develop training content, I always include a section on payment packing.

Tags: Compliance, Legal Corner, Michael Benoit, payment packing

By Michael Benoit

Dealers have all kinds of technology available these days to help them increase profitability, operate more efficiently, and generally make their lives easier. Like anything else, technology can come with legal baggage, and care must be taken to avoid an unintended compliance violation.

Tags: Compliance, Federal Trade Commission, Legal Corner, Michael Benoit, telemarketing

By Michael Benoit

“Missed it by thaaat much . . .” That phrase always brings to mind the inimitable Don Adams and his bumbling but well-intentioned television character, Maxwell Smart.

Tags: bankruptcy, Compliance, Legal Corner, Michael Benoit

By Michael Benoit

Many dealers I talk to have an appreciation for the value good compliance practices bring to their operation.

Tags: Compliance, Federal Trade Commission, Legal Corner, Michael Benoit

By Michael Benoit

Way back in 2003, Congress passed the Fair and Accurate Credit Transactions Act (FACTA). We’ve talked about it a lot in this column. For us lawyers, it’s the gift that keeps on giving, and it just gave again with the recent proposal for the last of the major rules it mandated.

Tags: Compliance, FACTA, Federal Reserve, Federal Trade Commission, Legal Corner, Michael Benoit

By Michael Benoit

Dealers have been contracting for years with marketing companies that use so-called prescreen lists to offer auto financing to qualified consumers. The Fair Credit Reporting Act (FCRA) requires that each person on such a list receive a “firm offer of credit”.

Tags: Compliance, FCRA, Legal Corner, Michael Benoit

By Michael Benoit

I’ve mentioned the Fair and Accurate Credit Transaction Act of 2003 (FACTA) several times in this column. You’ll recall that FACTA made significant amendments to the Fair Credit Reporting Act (FCRA), many in ways one may not have expected.

Tags: Compliance, FACTA, FCRA, Federal Trade Commission, Legal Corner, Michael Benoit

By Michael Benoit

Let’s face it; the law is not always the most stimulating topic for those of you who have lives. But knowledge is power, and it’s important to your business.

Tags: Compliance, Legal Corner, Michael Benoit

By Michael Benoit

A series of attacks on document preparation fees in several states has resulted in a line of cases holding that charging a fee to fill in the blanks on legal documents (for example, retail installment sale contracts) is the practice of law.

Tags: Compliance, Legal Corner, Michael Benoit

By Michael Benoit

Since 2003, I’ve been running around the country trying to impress upon people the fact that the Federal Trade Commission (FTC) is serious when it comes to safeguarding consumer information.

Tags: Compliance, Federal Trade Commission, Legal Corner, Michael Benoit

By Michael Benoit

Unless you’ve been living under a rock, you all know that Southern California has had its share of devastating wildfires over the last several months. If you live in Southern California, you’ve experienced the hot Santa Ana winds and the “red flag warnings” that accompany them — that is, warnings of the potential for such a catastrophe.

Tags: Compliance, Legal Corner, Michael Benoit, Red Flags Rule

By Michael Benoit

We’ve talked a lot about “process and procedure” in these columns, particularly as it relates to compliance. The operative word here is good, because procedures that conform to a lesser standard can really put a dent in your retirement plan.

Tags: Compliance, Legal Corner, Michael Benoit, retail installment sale contract

By Michael Benoit

You may recall the drama that played out in 2003 with regards to renewing certain provisions of the Fair Credit Reporting Act (FCRA). They were set to expire at the end of that year (if you don’t recall, trust me, folks in D.C. were losing sleep over this).

Tags: Compliance, FACTA, FCRA, Legal Corner, Michael Benoit

By Michael Benoit

Let’s face it — dealers get sued for a lot of things; sometimes it’s justified, sometimes not. The savvy dealer knows this and takes steps to manage risk accordingly.

Tags: Compliance, Legal Corner, Michael Benoit

By Michael Benoit

In past columns I’ve talked about compliance as a value proposition —something that often is hard to quantify except in comparison to “what might happen.” After numerous years in this business, I have to say the old adage, “an ounce of prevention is worth a pound of cure,” perfectly sums up the value of good compliance practices.

Tags: Compliance, Legal Corner, Michael Benoit

By Michael Benoit

As all of you know, spot deliveries are a common practice in many dealerships around the country. Where they are permitted by law and properly executed, spot deliveries are a valuable sales process.

Tags: Compliance, Legal Corner, Michael Benoit, spot delivery

By Michael Benoit

Memorial Day weekend in Washington, D.C., is always an affair, from the 20,000-plus motorcycle-riding members of Rolling Thunder in town to raise awareness of POW/MIA issues, to the concerts and fireworks on the mall, and thousands of flags flying everywhere.

Tags: Compliance, Legal Corner, Michael Benoit

By Becky Chernek

Ancillary products can generate as much as 60 percent of gross profit. Does your pay plan reflect that? Pay plans should reward for superior and compliant performance, but are you factoring in today’s market trends?

Tags: Compliance, GAP, pay plan, service contract

By Michael Benoit

We’ve had a couple of major developments this month, so this month’s column is devoted to updating you on the happenings around Washington, D.C.

Tags: Compliance, Legal Corner, Michael Benoit

By Michael Benoit

When I sit down to write this column every month, I try to think about what’s new, what’s novel, what do folks not know about, etc. A request from a reader asking for an article that discussed spot deliveries made me realize that sometimes, a “best practices” article on a subject that’s been around a long time may provide more bang for the buck from time to time.

Tags: Compliance, Legal Corner, Michael Benoit, spot delivery

By Michael Benoit

A couple of years ago there was a lot of scrambling going on as financial institutions figured out how to comply with the customer identification program (CIP) requirements imposed by Section 326 of the USA Patriot Act.

Tags: Compliance, Legal Corner, Michael Benoit

By Michael Benoit

Being a compliance lawyer, I ask new and potential clients to consider this question: “How do you value good compliance practices in your operation?” What would your response be?

Tags: Compliance, Legal Corner, Michael Benoit

By Michael Benoit

There is a popular sci-fi show on TV called The 4400. It features some 4,400 people who were abducted by aliens and returned to earth en masse.

Tags: Compliance, IRS/FinCEN Form 8300, Legal Corner, Michael Benoit

By Michael Benoit

You’ll notice that, from time to time, I’ll devote a column to those pesky adverse action notice requirements. For those of you who may be thinking that I do this because it’s all the law I know, let me assure you that I have other talents as well.

Tags: Adverse Action Notices, Compliance, ECOA, FCRA, Legal Corner, Michael Benoit

By Stephen B. Straske II

Communicating your dealership's policies and procedures in clear, plain language improves the chances of them being followed.

Tags: Compliance

By Stephen B. Straske

Conducting business ethically and honestly must be embraced by every employee for a compliance policy to be effective. When deviations occur, clear consequences should be upheld.

Tags: Compliance, ECOA, F&I products, FCRA, Regulation Z

By Joan Shim

Taping F&I managers in action has helped dealers bring in hundreds of dollars more per car -- and saved them tens of thousands in legal fees.

Tags: Compliance, F&I office